Wantagh, NY -- (SBWIRE) -- 10/21/2014 -- Rolling Art Fund 1 is designed to provide accredited investors access to an emerging asset class that is non-correlated to equity markets. “The current data suggests that the collectible car market moves in negative or near negative correlation to equity markets. With most if not all world equity markets at or near all time highs and long term bonds effectively at zero, an allocation to this space just makes sense", according to Fund Manager Joshua Wekstein.
The fund is seeking to raise $25-$50 million dollars in order to acquire a portfolio of 8-12 limited production collectible sports cars which are considered automotive treasure based upon their engineering, mechanical, design, or historical significance. The fund is designed for a ten year term, with minimum investments beginning at $250,000. With sufficient investor interest the Fund aims to close by the first quarter of 2015.
The collectible car market has evolved into an emerging asset class, driven by increased volume and liquidity underpinned by growing global demand. The fund provides investors exposure to this market, which in the past has proven difficult due to the high ownership costs and capital outlays required to obtain a portfolio of high end collectible cars. "Most investors don't have the time or expertise needed to obtain and maintain a portfolio of collectible cars, let alone the financial resources to do so”, says Wekstein.
Co- Founder and fund manager Marc Sharinn explained that some high-end collectible sports cars could sell for as much as $5-$10 million dollars, and that higher prices were not uncommon. " In order to benefit from trends in the collectible sports car market, an investor must own the equivalent to automotive treasure; cars which are limited in number and have historical significance or elements of mechanical, engineering or design innovation. These cars come at a tremendous expense, making direct investments in the space nearly impossible for most. Our fund solves that problem.”
Noting that both he and his partner are also significant Fund investors, Sharinn differentiated the offering from other typical Wall Street fare, “It’s not just that we are passionate about the space and have a depth of knowledge, but we also have our own capital at risk and we share directly in fund expenses. For our own sake, we want to manage the portfolio and its assets as efficiently as possible.” To that end, the fund intends to leverage its size and scale to reduce the expense of items such as insurance, storage and transportation.
When asked to comment about a recent study which showed that less than 12% of all fund managers had more than 1 million dollars invested in the funds they managed, Wekstein was at a loss: " I could never explain why someone would entrust their money with a manager who wasn't willing to make a substantial investment in his own fund; It would be easier to argue that the world is flat."
For more information, please contact
Rolling Art LLC.
2910 Riverside Dr.
Wantagh, NY 11793
1-516-768-8762 Office Line